What is a non disclosure agreement?
A non disclosure agreement often referred to as an NDA, is a contract that requires one party never to reveal confidential information about the other party. That confidential information may be company sensitive data, insider secrets, or anything else to which the party seeking to establish an NDA wants complete confidentiality maintained. For that reason, NDAs can be referred to as a confidentiality agreement too at times.
A non disclosure agreement should delineate the responsibilities and obligations of both parties in respect to the confidential information. As a result, it will outline clearly what constitutes confidential information as well as the required behavior of the signee to keep that information secret. It also details how the confidential information is classified and assigned ownership to the discloser. For example, employee contracts will outline who owns the intellectual property if an employee creates that intellectual property under a company's employment. Perhaps most importantly, it also details how long the NDA should last and what happens when the agreement comes to an end.
The most significant advantage of an NDA is the ability to keep confidential information just that. Confidential. And, should that information be leaked somehow by a person who has signed an NDA promising to keep it confidential, there can be legal consequences for them. As a result, companies and entities can keep key information a secret that can protect all manner of assets under their control.
Patents and procedures can therefore remain unique to the companies that own them, for example. In doing so, companies can be confident in what information they disclose to their employees so that they can use that information efficiently and effectively. Suppose companies have to withhold information from their employees due to fear of information leakage, yet that information can help them do their job better. In that case, employees' capabilities are diminished, which can affect the success of a company.
Contractbook has two non-disclosure agreements within its vast library of contract templates ready to be used by those who need one. There is a one-way non disclosure agreement template and then a broader non disclosure agreement. Both can be used to protect confidential information from being disclosed that a party will want to keep away from outsiders.
Using either of these templates, depending on your need or requirement, means that you can not only have a non disclosure agreement created and signed quickly, it also means that you know that the contract you do create is legally sound. Contractbook only uses the best lawyers to create these templates, so you can be confident that using our non-disclosure agreement will protect you.
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